Premier says China doesn't want 'trade war' with Washington

Chinese Premier Li Keqiang speaks at a press conference after the closing session of the National People's Congress held in the Great Hall of the People in Beijing, China, Wednesday, March 15, 2017.

Chinese Premier Li Keqiang speaks at a press conference after the closing session of the National People's Congress held in the Great Hall of the People in Beijing, China, Wednesday, March 15, 2017.

(ROMAN PILIPEY / EPA)

Associated Press

China's top economic official said Chinese leaders "don't wish to see a trade war" with Washington and promised Wednesday to open its state-dominated economy wider to foreign investment and trade.

The two giant economies should "uphold strategic interests," said Premier Li Keqiang, the country's No. 2 leader, at a news conference held following the close of the annual legislative meeting.

U.S. President Donald Trump has promised to raise import taxes on Chinese goods to counter what he says are unfair practices by Beijing. That has prompted warnings China might retaliate, disrupting one of the world's biggest trading relationships.

"We don't wish to see a trade war breaking out between the two countries. That wouldn't make our trade fairer," said Li.

Officials of the two countries are discussing a face-to-face meeting between Trump and Chinese President Xi Jinping, the premier said.

"China hopes that, no matter what bumps this relationship may run into, it will continue to forge in the right direction," said Li.

The premier affirmed Beijing's commitment to free trade, on which Chinese leaders have emerged as global advocates in response to Trump's calls for controls on imports, despite complaints China is the most-closed major economy.

China will open its markets wider despite "frictions in trade and investment," Li said.

"China will continue to open to the outside world," the premier said. "We welcome other partners to share with us in the development opportunities of China."

The premier said China will help promote Asian regional trade but wants to work with its neighbors — an apparent attempt to ease concern about Beijing's increasing economic dominance.

"We have an open mind and we are ready to work together with others," Li said. "China has no intention to overreach itself."